Goldman Sachs puts Adidas on conviction sell list

SarahTurner

LONDON (MarketWatch) -- Goldman Sachs added German sportswear maker Adidas to its conviction sell list on Wednesday. "The stock appears expensive and we see downside risk from high U.S. exposure," the broker said. Goldman Sachs said that it now sees more downside risk for European retailers than for U.K. retailers as it believes valuations haven't corrected enough. "We believe that the U.K. (retail) stocks are now approaching valuation levels where there is limited further downside risk in the short term. "While we are not calling the trough yet, we believe that pressure will now be greater on European names." Adidas
ADS, -0.89%
shares fell 5.1% in Frankfurt.

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